AirTran to meet with Midwest board on July 16
The board of directors for Oak Creek-based Midwest Air Group Inc. has agreed to meet with AirTran Holdings Inc. executives on July 16 to hear a presentation about AirTran’s takeover plans. The Orlando, Fla.-based parent company of AirTran Airways is attempting a hostile takeover of the parent company of Midwest Airlines.
The Midwest board has repeatedly rejected AirTran’s takeover offers and has recommended that Midwest shareholders not tender their shares to AirTran. However, at Midwest’s annual meeting on June 14 Midwest shareholders elected three nominees to replace three of Midwest’s incumbent members of the Midwest board. The vote prompted Midwest board members to further consider the AirTran offer.
“We are more than pleased to accept Midwest’s invitation to have our team meet with the newly constituted board,” said Joe Leonard, chairman and CEO of AirTran Airways. “We plan to review, in detail, the benefits of a merger of our two companies, and then move expeditiously to effect a definitive merger agreement.”
Carol Skornicka, senior vice president, general counsel and secretary of Midwest Air Group, said the Midwest board will review AirTran’s proposal, but has no plans to begin merger negotiations.
“The board has expressly said that they have no interest in engaging in negotiations,” she said. She described Leonard’s characterization of the meeting as “misleading.”
AirTran’s latest takeover offer, worth about $15 per share in cash and stock and valued at $389 million, is set to expire on Aug. 10. Midwest shareholders have agreed to tender more than 14.6 million shares of Midwest stock to Galena Acquisition Corp., a wholly owned subsidiary of AirTran, which represents 59.5 percent of all outstanding shares of Midwest Air Group, or 64.1 percent of outstanding shares that are not held by the Midwest board or management.
Stir Advertising acquires Brady Marketing
Milwaukee-based Stir Advertising announced that it has acquired Menomonee Falls-based Brady Marketing Group Inc.
Stir hired five senior management employees from Brady, but the other eight Brady employees were eliminated in the acquisition. Brady’s Menomonee Falls office has been closed, and its operations have been shifted to Stir’s downtown Milwaukee office. Stir now has 26 full time employees.
“Combining our collective talents and expertise will strengthen our strategic offerings, adding new in-house services and augmenting existing creative advertising, media buying, promotions and public relations capabilities,” said Steve Koeneke, partner, Stir Advertising.
With the acquisition, Stir now offers full-service research and database marketing as part of its in-house capabilities. The company says that the acquisition will also bolster its public relations, account service and production departments with senior-level executives and global experience.
“The addition of these high-level talents, along with the relationships that they bring is an immediate boost,” said Brian Bennett, partner, Stir Advertising. “And it is an important strategic step in our longer term growth and expansion plans. Our vision is to provide incremental value to clients by delivering innovative creative across a spectrum of critical touch points that resonates with target audiences, inspires action and builds brand equity.”
In addition to hiring five employees from Brady, Stir also recently hired a senior medical/technical writer.
To accommodate its growing staff, Stir is expanding its existing first floor offices in the Blatz Boilerhouse at 252 E. Highland Ave. in downtown Milwaukee, with space on the second floor. Stir is increasing its space in the building from 6,500 square feet to 10,500 square feet.
Blue Horse Inc. Merges with Marx McClellan Thrun
Two advertising agencies located in the Historic Third Ward in Milwaukee have merged to form one firm. Blue Horse Inc. and Marx McClellan Thrun (MMT) combined staff and leadership to become Blue Horse/MMT. The new agency was known as Agency X during a two-week long marketing campaign leading clients, family and friends to a street party on Buffalo Street last night, where the new agency logo and leadership were unveiled.
The collaboration has been discussed for the past year, said Bob Welke, chief executive officer of Blue Horse/MMT.
“The synergy between our two shops started to work wonders from the very first day,” Welke said. “MMT has a well-deserved reputation as a creative powerhouse. Add that to the creative credentials at Blue Horse, then combine it with Blue Horse strength and expertise in PR, media strategy and client service, and you’ve got the makings of a formidable organization. We look forward to accomplishing great things.”
The partnership was a true merger, said Susie Falk, senior vice president and associate director of public relations for Blue Horse/MMT.
Rick Thrun, former chief creative officer and CEO of MMT will serve as chief creative officer of the new agency. Tom Thiede, former president of Blue Horse, will continue as president of the new agency. Bill Sheahan will serve as director of client services; Jeff McClellan will serve as executive vice president and creative director; Stephen Johnstone will serve as executive vice president and director of public relations; Laura Marx will serve as senior vice president and Tod Kinunen will serve as senior vice president and chief financial officer.
Prior to the merger, Blue Horse employed 30 people and MMT had 11 employees. All of the employees will continue working with the new agency, Falk said.
Blue Horse/MMT did not disclose the details of the partnership, but reported a combined $48 million in capital billings.
Both agencies will continue to work out of their current offices. Blue Horse is located at 241 N. Broadway and MMT is located at 207 E. Buffalo. Blue Horse/MMT plans to find a single location and hopes to stay in the Third Ward, Welke said.
Beer Capitol Distributing and W.O.W. Distributing acquire Beloit Beverage
Pewaukee-based Beer Capitol Distributing Co. and Sussex-based W.O.W. Distributing Co. Inc. have agreed to purchase Milwaukee-based Beloit Beverage Co. Inc.
The agreement makes Beer Capitol and partner W.O.W. Distributing among the largest volume wholesalers of Milwaukee Premium, Pabst and Coors beer brands in Wisconsin.
During the fourth quarter of this year Beer Capitol Distributing Co. will assume distribution of Milwaukee Premium, Pabst and Coors brands to parts of Milwaukee County, as well as Waukesha and Dodge Counties through W.O.W. Distributing Co., Inc.
“Our role as a distributor ensures choice and variety to consumers in the communities we serve,” said Aldo Madrigrano, president of W.O.W. Distributing Co., Inc. “The addition of the Milwaukee Premium, Pabst and Coors brands to our already diverse array of products delivers on this promise to our 1,900 retailers and their customers.”
